Monday, May 25, 2009

Another Technology Real Estate Death

Near the corner of Stevens Creek at Lawrence Expressway in San Jose is a new for lease sign. It sits in front of the recently closed approx. 4,000 square foot Blockbuster Video store. 10 years ago this would have been a very hot NNN investment property - little did people see how technology would reshape the real estate world. We want to be very forward thinking whem investing in commercial property. What can change in the next 5 or 10 years - the time frame when you may want to sell or exchange. Food is hard to sell on the internet. But cell phones as an example - do they require such an abundance of retail stores? Banks are also significantly shrinking their retail space requirements. All these changes morph strip malls and the investment outlooks behind them. That's what I think while waiting for my haircut at Supercuts.
Mario Pinedo, CCIM
Intero Real Estate
Office 408-342-3155
Cell 415-269-6249

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